Singapore's October CPI seen edging up on transport, oil costs: Reuters poll

Reuters Staff

2 Min Read

SINGAPORE (Reuters) - Singapore’s consumer price index probably edged up slightly in October from a year earlier due to higher private road transport costs, picking up from September’s pace, a Reuters poll showed.

The all-items CPI in October was forecast to have risen 0.5 percent, up from 0.4 percent in September, according to the median forecast of 10 economists in the poll.

“Private road transport costs is expected to rise due to higher Certificate of Entitlement (COE) prices and an increase in petrol prices during the month,” ANZ bank said in a research note to its clients.

A COE is a quota license won in an auction that allows the permit holders to own vehicles in the city-state.

People shop for bags in Singapore April 24, 2017. REUTERS/Edgar Su/File Photo

Land-scarce Singapore, one of the world’s most expensive places to own a vehicle, has said it will not allow any growth in its car population from February..

The poll also showed that the Monetary Authority of Singapore’s (MAS) core inflation measure in October likely rose 1.5 percent from a year earlier, unchanged from September.

“The MAS core inflation measure is forecast to be steady... as labor market slack means there is still an absence of demand-pull inflation pressures,” ANZ said.

The central bank’s core inflation measure excludes changes in the price of cars and accommodation, which are influenced more by government policies.